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yuradex [85]
3 years ago
10

Polly sells goods to customers in exchange for a $10,000 noninterest-bearing note due in 3 years. The interest rate on this type

of loan is 6%. What is the present value of the note
Business
1 answer:
Irina-Kira [14]3 years ago
7 0

Answer:

present value = $8396.19

Explanation:

given data

cash flow = $10,000

rate r = 6 %

time period t = 3 years

to find out

present value of the note  

 

solution

we get here present value that is expressed  as

present value =   \frac{cash\ flow}{(1+r)^t}     ....................1

put here value and we will get present value

present value = \frac{10000}{(1+0.06)^3}  

solve it we get

present value = $8396.19

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Explanation:

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On the food label for a package of crackers, what does a 15 percent daily value for iron mean?
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3 years ago
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Nataliya [291]

Answer:

-9.92%

Explanation:

P₀ = Div₁ / (Re - g)

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Re =  (Div₁ / P₀) + g

Re = ($0.9912 / $62.91) - 11.5%

Re = 1.58% - 11.5% = -9.92%

Since the cost of equity or required rate of return cannot be negative, I suppose that investors are not worried about Abbott distributing dividends, instead, they prefer that the company reinvests earnings in new projects.

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3 years ago
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Irina18 [472]

Answer:

The answer is true.

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The managerial accounting must do:

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3 years ago
Making adjustments to general ledger accounts is an application of the Matching Expenses with Revenue accounting concept.
svetoff [14.1K]

Answer:

A. True

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